In: Finance
An account had $840,000 in it at n=0 the account paid 6% annual interest. Each year for 20 years $12000 was withdrawn from the account. What is the amount at n=20, just after the last $12000 withdrawal?
$ 2,252,566.70
Year | Beginning Value | Interest | Withdrawal | Ending Value |
a | b=a*6% | c | d=a+b-c | |
1 | 8,40,000.00 | 50,400.00 | 12,000.00 | 8,78,400.00 |
2 | 8,78,400.00 | 52,704.00 | 12,000.00 | 9,19,104.00 |
3 | 9,19,104.00 | 55,146.24 | 12,000.00 | 9,62,250.24 |
4 | 9,62,250.24 | 57,735.01 | 12,000.00 | 10,07,985.25 |
5 | 10,07,985.25 | 60,479.12 | 12,000.00 | 10,56,464.37 |
6 | 10,56,464.37 | 63,387.86 | 12,000.00 | 11,07,852.23 |
7 | 11,07,852.23 | 66,471.13 | 12,000.00 | 11,62,323.37 |
8 | 11,62,323.37 | 69,739.40 | 12,000.00 | 12,20,062.77 |
9 | 12,20,062.77 | 73,203.77 | 12,000.00 | 12,81,266.53 |
10 | 12,81,266.53 | 76,875.99 | 12,000.00 | 13,46,142.53 |
11 | 13,46,142.53 | 80,768.55 | 12,000.00 | 14,14,911.08 |
12 | 14,14,911.08 | 84,894.66 | 12,000.00 | 14,87,805.74 |
13 | 14,87,805.74 | 89,268.34 | 12,000.00 | 15,65,074.09 |
14 | 15,65,074.09 | 93,904.45 | 12,000.00 | 16,46,978.53 |
15 | 16,46,978.53 | 98,818.71 | 12,000.00 | 17,33,797.24 |
16 | 17,33,797.24 | 1,04,027.83 | 12,000.00 | 18,25,825.08 |
17 | 18,25,825.08 | 1,09,549.50 | 12,000.00 | 19,23,374.58 |
18 | 19,23,374.58 | 1,15,402.47 | 12,000.00 | 20,26,777.06 |
19 | 20,26,777.06 | 1,21,606.62 | 12,000.00 | 21,36,383.68 |
20 | 21,36,383.68 | 1,28,183.02 | 12,000.00 | 22,52,566.70 |